Hero to Xero, page-130

I'm not overly interested in the short term SP movements. You may well be right that you'll get a better entry point. I won't mind as I can continue to accumulate at an even better price.

I don't think this is even close to being a winner takes all market. It's a huge market and so of course there's a lot of competition. But Xero's platform allows it to adapt so quickly. There's also a lot of competition in the cloud based CRM market and yet Salesforce.com has a $45 billion market cap. Xero is in the expensive process of growing its customer base in multiple markets. As the article I posted points out, the customer acquisition cost is booked in year 1, but the incremental profit on the average customer is 3 times that over the customer lifecycle. And that's just on the accounting offering. Xero will be able to leverage its customer base to offer much more than an accounting platform in years to come. I'll know if I'm right in 5-10 years.